Jason Clare (Blaxland, Australian Labor Party, Shadow Minister for Communications) Share this | Link to this | Hansard source

My question is to the Prime Minister. The trade minister said today, about people impacted by the cuts to penalty rates, 'It's only those on the margins.' Why does this government think that a wage cut of up to $77 a week for nearly 700,000 low-paid Australian workers is just a marginal issue?

Malcolm Turnbull (Wentworth, Liberal Party, Prime Minister) Share this | Link to this | Hansard source

I thank the honourable member for his question. The fact remains that the honourable members opposite have walked away from a commitment to the independent umpire in the industrial relations system. Let me quote this passage from Bill Shorten, Minister for Employment and Workplace Relations, in 2012, for the honourable member's benefit—from the Adelaide Advertiser, no less:

Under the fair go workplace system Labor put in place, penalty rates in modern awards are set by the independent umpire, Fair Work Australia, after extensive consultations with employer representatives and unions. The tribunal is currently holding a major check-up of the operation of penalty rates and public holidays in modern award rates.

He knew all about that because he had given them the brief to do it. He goes on to say:

Employers, employees and their representatives are able to appear before the independent umpire and put their views forward. That's a fair system, one that balances the rights of employers to make a profit with the rights of employees to fair treatment.

So spoke Bill Shorten, Minister for Employment and Workplace Relations, the author of this Fair Work Commission decision.

No individual in this parliament had more to do with setting up that review of modern award and penalty rates than the Leader of the Opposition. He owns it. It is his process. Is he seriously suggesting that it never occurred to him that any of these penalty rates would be reduced? Does he seriously expect us to believe that the Fair Work Commission was going to increase them, when, in agreement after agreement, he reduced them? He was a master, an absolute Olympic champion, in reducing penalty rates as part of enterprise bargaining agreements. He knew exactly what the debate was. He knew exactly what the contention was. He set the review up. He stood by the independent umpire. In fact, he was standing by the independent umpire until January this year, when, according to the member for McMahon, he had 'consultations' and changed his mind. What he had was a direction from his proprietors, the CFMEU and the other heavies in the trade union movement. They pulled him back, and he is doing as he is told. He has betrayed a lifetime of commitment to the independent umpire. Jennie George held him to account, and she was right to do so.